The effects of the earned income credit on the seasonality of household expenditures
UNSPECIFIED (2000) The effects of the earned income credit on the seasonality of household expenditures. In: Joint Center for Proverty Research Conferene on the Earned Income Tax Credit: Early Evidence, EVANSTON, ILLINOIS, OCT 07-08, 1999. Published in: NATIONAL TAX JOURNAL, 53 (4 Part 2). pp. 1211-1243.Full text not available from this repository.
Using data from the Consumer Expenditure Survey, we investigate whether the Earned Income Credit (EIC) leads to changes in seasonal expenditure patterns of low-income workers. We find that EIC eligible households spend approximately 3 percent move total during February, the modal month of EIC refunds, and 9 percent more on durable goods than non-eligible households. The increased spending on durable goods indicates that the EIC facilitates the purchasing of big-ticket items by low-income-families. These estimates, when converted to dollars, also suggest that EIC recipients smooth expenditure somewhat since the average increase in expenditure is less than the average EIC refund.
|Item Type:||Conference Item (UNSPECIFIED)|
|Subjects:||H Social Sciences > HG Finance
H Social Sciences > HC Economic History and Conditions
|Journal or Publication Title:||NATIONAL TAX JOURNAL|
|Publisher:||NATL TAX ASSN|
|Number:||4 Part 2|
|Number of Pages:||33|
|Page Range:||pp. 1211-1243|
|Title of Event:||Joint Center for Proverty Research Conferene on the Earned Income Tax Credit: Early Evidence|
|Location of Event:||EVANSTON, ILLINOIS|
|Date(s) of Event:||OCT 07-08, 1999|
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